Average discount from list price

34% average discount shows why SaaS benchmarking matters

The 34% average price discount across all software categories underscores a noticeable gap between list prices and typical market rates, highlighting why negotiation has become a crucial part of procurement.

Sectors such as ERP and AI achieve higher average discounts (around 45%), reflecting the flexibility vendors build into complex enterprise deals. In contrast, categories like Design tend to have more stable pricing, with less room for adjustment without an informed negotiation approach.

These averages also illustrate why a "one-size-fits-all" approach to budgeting can be misleading. A standard 20% discount might align with expectations in Design, but it could represent missed value in areas like IT infrastructure or Development, where typical discounts are significantly higher. This variation can slow procurement cycles as teams spend more time benchmarking and negotiating – but with the right procurement partner and access to detailed market intelligence, organizations can accelerate approvals and better capture potential savings.

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